Closings of new homes increased year-over-year in June in the Morristown, TN market, but the increase was less than May 2016. New home closings moved from 2 a year earlier to 3 after the figure moved from 1 in May 2015 to 4 in May 2016.
New home closings were 3 out of the 223 total closings, a move on a percentage basis from 2 of 200 a year earlier. For new and existing homes, closings climbed year-over-year in June after also increasing in May year-over-year.
Pricing and Mortgage Trends
The average price for newly sold homes moved north to $138,800 from $119,950 a year ago. This followed a 12.4% boost in May year-over-year.
Average mortgage size on new homes went from $138,320 a year earlier to $153,145. Average mortgage size on new homes went from $163,337 in May 2015 to $153,033 in May 2016.
Other Market Trends
There was no change in the composition of the new home market with regard to the types of properties sold in June 2016.
Foreclosures and real estate owned (REO) closings continued to decline from a year earlier in June, but did not look to be a burden on the market. Together, foreclosures plus REO closings accounted for 21.4% of existing home closings, down from 22.7% a year earlier. The percentage of existing home closings involving foreclosures rose to 13.6% in June from 9.1% a year earlier while REO closings as a percentage of existing home closings sank to 7.7% from 13.6% a year earlier.